World News | G7 imposes price cap on Russian oil imports

Berlin [Germany]Sept. 2 (ANI): The Group of Seven (G7) nations have pledged to impose a price cap on Russian oil, saying it would hamper the country’s war effort in Ukraine and accelerate its economic deterioration.

“Since Putin’s unprovoked and brutal invasion of Ukraine, the UK and our allies have imposed devastating sanctions on the Kremlin’s war machine, plunging the Russian economy into a deep recession and rendering much of Russia’s $640 billion foreign exchange reserves unusable. ,” said UK Finance Minister Nadhim Zahawi.

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The G7 said the price caps were specifically designed to reduce Russian revenue and Russia’s ability to finance its wars.

“This measure will therefore build on and expand the reach of existing sanctions, particularly the EU’s sixth set of sanctions, ensuring coherence through a strong global framework,” the G7 said in its finance ministers and central banks said in a statement after the governor’s meeting. 02.

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The group said they committed to urgently completing and implementing the measure within their jurisdiction through their respective domestic and legal processes.

“We acknowledge that, for the EU, consensus among the 27 EU member states is required. Our aim is to align the timetable for implementation with the relevant measures in the EU’s sixth sanctions package.”

“The initial price cap will be set at a level based on a range of technical inputs and will be determined by the entire coalition prior to implementation in each jurisdiction,” they added.

Members of the powerful group also said the price cap will be communicated publicly in a clear and transparent manner. The effectiveness and impact of price caps will be closely monitored and price levels revisited if necessary.

The EU’s sixth set of sanctions was passed on June 3. It prohibits EU operators from insuring or financing the transportation of crude oil or petroleum products from Russia to third countries, especially via sea routes.

Earlier, Russian Deputy Prime Minister Alexander Novak denounced the idea of ​​a cap on Russia’s oil prices as absurd and warned that Moscow would not supply oil and petroleum products to countries that backed the decision.

Sanctions imposed by the West on Russia in retaliation for its military actions in Ukraine have sent food and energy prices soaring over the past few months, sparking record inflation in some countries. (ANI)

(This is an unedited and auto-generated story from the Syndicated News feed, the body of the content may not have been modified or edited by LatestLY staff)